Seaton J.
TO: Proximity video team
FROM: Justin Seaton
SUBJECT: LA Times articles on Hulu
DATE: January 30, 2010

We were asked to analyze a blog or a news item to help us prepare for Proximity's spring focus group sessions. In the following memo, there is a summary of a news article about how Hulu is considering charging for its service. There are also some questions that I think should be asked to a focus group.

What is Hulu
Hulu is an internet video site that is popular due to its offering of free popular television shows. Hulu's service provides shows from ABC, NBC, Fox, and many other networks. Hulu's growth into a huge video site threatens the economics of the televison business.

Why this article is important
According to the article, Hulu is trying to find a balance between giving users what they expect to see free online and what they should pay for. Hulu is one of many online companies that are begining to rethink how they operate. Lately, more and more popular internet sites, including Pandora, who had once offered their service free, have decided to charge.

Questions to ask during Proximity's focus group sessions

  • Are you willing to pay for shows on Hulu? If so, how much?
  • Who is your favorite internet video site?
  • Do you prefer watching online or television?

References

http://articles.latimes.com/2010/jan/21/business/la-fi-ct-newhulu21-2010jan21
Dawn C. Chmiewelski and Alex Pham. "At Hulu, 'free' may soon turn into 'fee'" LA Times.